Home Owners Association clearance certificates in the situation where a property is sold by the trustee in an insolvent estate.
- In the High Court case of Jerry Sekete Koka N.O. and Others v Willow Waters Home Owners Association (Pty)Ltd and Others Case No 20361/2012 (North Gauteng High Court) the court ruled that when a Trustee in an insolvent estate transfers a property subject to a HOA condition, that the Trustee need not obtain a Clearance Certificate from the relevant HOA and that the Registrar of Deeds may register the same without the HOA Clearance Certificate.
- The above case is currently on appeal and therefore the judgment in the above case is ipso facto suspended until the appeal has been finalised.
- Examiners must call for a Clearance Certificate from the relevant HOA in all of these transfers and the status quo remains until further notice.